concepts of total quality management

UNIT 2 CONCEPTS OF TOTAL QUALITY MANAGEMENT

Structure

Introduction -

Objectives

What is Total Quality Management?

Principle of Objectives

Reasons for Popularity of TQM

Axioms of TQM

Valuable Tools for Quality

Concepts of Kaizen in TQM

2.7.1 Total Quality Control 2.7.2 Kanban Just-in-Time System 2.7.3 Quality Circles 2.7.4 Total Predictive Maintenance

Deming Approach to TQM

2.8.1 14 Points to Quality Management 2.8.2 The Seven Deadly Sins 2.8.3 The PDCA Cycle

Juran on Quality -,

2.9 1 Quality Trilogy Model 2.9.2 Achieving Quality through Breakthrough

Crosby and Quality Treatment

2.10.1 The Zero Defect Concept 2.10.2 The Four Absolutes of Quality 2.10.3 Crosby's 14 Points for Quality Improvement

Steps in Implementing Zero Defect Program

Poka-Yoke

2.1 3 Concurrent Engineering

2.14 Summary

2.15 Key Words

2.16 Answers to SAQs

2.1 INTRODUCTION

Total Quality Management (TQM) bursts on the international scene in the early 1980s. Individuals such as Juran and Deming achieved guru status by extolling its virtues. Edward Deming introduced the process of statistical measures during the period 1939-45 to control quality. He showed that process operator could eliminate 15% of the causes of variation and that the management was accountable for remaining 85% of the problems. However, American managers did not appreciate this conclusion initially. Deming philosophy was, however, taken seriously by the Japanese industrialists and they applied his teachings enthusiastically. The outcome was turnaround of Japan's industrial fortunes. Since then western managements are attempting to follow the Japanese example by adopting a consistent approach to quality. This new mantra that a consistent

Quality Systems and persistent investment in quality will eventually pay cff i s deeply imbibed in the philosophy of TQM.

Objectives After studying this unit, you should be able to

understand the features of TQM,

explain the axioms of TQM through Joiners triimgle,

know the tools for improving quality, anc!

implement zero defect programme.

2.2 WHAT IS TOTAL QUALITY M A 5 3 GEMENT?

Total quality management refers to the total involvement of ste:tt ' in an organization together in bringing about quality satisfaction by promoting a pi*ticipating culture. The fundamental point in TQM is the definition of a customer. Eariier definitions of a customer included one who was impacted by the product. TQhI philosophy extends the concept of impact to every individual or department within the organization. The external customer is only the final part in the customer chain. This nlakes everyone a customer of, and a supplier to, someone else in the chain. This new definition of customer asks for altogether different outlook to the question about responsibility of quality. Since quality inputs and outputs are demanded and expected at a e r y point on the chain, no one is spared from performing the quality function. In fact quality becomes a routine duty of every individual. This is the new culture of TQM.

There are interesting features in this work culture. Firstly, that in problem solving efforts, TQM transcends across organizational hierarchial boundaries. This implies that manager and the worker are equally involved in decision making and performing a job. This also implies that both of them have a potential to introduce creativity and innovation in problem solving.

Secondly, TQM invokes the leaders of an organization to create a vision and establish a mission. The vision is the hope of a better tomorrow and even better. of being the number one, the best in the class tomorrow. The top managers them$^-, 1 are the advocate of change and also the motivators. The process of change II:CI;IL es commitment to the technical challenges (new methods and techniques) and social t ~sks. This is called smtegic planning.

Thirdly, TQM gives a sense of ownership to all the employees thus cpmpowering them to make decisions. This motivates the morale of the people in customer chain and in effec., breeds teamwork too. And lastly, TQM philosophy advocates that toolb through whick quality is achieved; technology, methods and innovators, are always uldating and improving. Thus, an organization practicing TQM achieves quality with a consistent and persistent effort

2.3 PRINCIPLE OF OBJECTIVES

TQM employs a common sense system for measuring and analyzing a given process in order to find a better way of doing work. TQM should help to do a better job by :

(i) Bringing people together for discussion and exchange of ideas.

(ii) Developing an alert open-minded, questioning attitude on the part of all employees.

(iii) Uncovering,and eliminating wasteful and time-consuming methods, thereby leaving mone time for the development of effective procedures.

(iv) Eliminating fear at all levels of organization.

The nature of current worldwide competition generally demands from any corporation four ability characteristics.

(i) To understand what ti12 ;:ilstolners want and to provide it, immediately on demand, at the lowest c,>st.

(ii) To provide product and scl.vic:s of high quality and reliability.

(iii) To keep up with the piirc of change, technological as well as political and social.

(iv) To be one step ahead of the customer's needs; that is, to predict what the customer will want one year or ten years from now.

The principal objectives of TQM catering to the above characteristics are :

(i) To monitor performance and customers satisfaction levels.

(ii) To identify improvements necessary in the customer interface.

(iii) To deliver improved products and services at the lowest cost.

(iv) To assess and agree to the customer's requirement.

(v) To tailor output to the customer's demand.

There are two salient features of TQM that make it unique :

(i) Continuous Improvement and Innovation : This helps to enhance the value of the organization's operation and output. Continuous improvement means that new products are launched or existing products and services are improved. This can be accomplished by

reducing errors, defects and waste,

improving responsiveness and cycle time performance, and

improving productivity and effectiveness in use of all resources.

(ii) Application of Quality Methods : In TQM culture, quality methods are applied to entire organization, from management, to accounting, to manufacturing, service, and every other sub-entity in the organization. This ensures that every one in customer chain within an organization understands the company motives.

2.4 REASONS FOR POPULARITY OF TOM

I Total quality management has become the synonym of the success for most of the organizations in the world and this is gaining popularity day by day. The reasons can be attributed to the beneficial consequences of TQM.

Guaranteed Customer Satisfaction and Increased Market Share

In TQM culture, the customer is the most important part of process line and if process quality is attained, customer satisfaction is guaranteed. Quality product and services ensure not only the customer's future return but also fewer complaints and lower warranty costs. Higher profits improve reputation and hence increased market share.

1 Cost Reduction 1

Decrease in cost under warranty is not the only cost reduction to be achieved. The I

i higher the quality, the lower the number of inferior products. The reasons for reduction in cost due to high quality are :

I less consumption of energy and saving of working hours,

I less replacement of materials, and

I . -

less stoppage of machines for inspection of final output.

The effect of cost reduction leads to prompt deliveries and higher productivity levels, and simultaneously lower cost for repair and reworking.

- .

Concepts o f Total Quality Management

Quality System Conducive ~nvironment

TQM provides an environment where fear is eliminated. When fear is absent, it leads to the consequences where :

employees take pride in their work because they can admit to their mistakes and provide opinion,

employees feel respected and accepted because they feel as part of the team, .~ .

and

employees strive not only for their own interest but also for interest of organization.

New Definition to Success

Success in a TQM practiced organization is measured not only by customer satisfaction, profit and market share, but also by

improved employee morale,

efficiency in operation,

fewer complaints and improyed industrial relations, and

happier working environment.

On the whole, investment in continuous total quality improvement will guarantee the survival and propriety of the business, the protection of investment, future dividknds and more jobs.

2.5 AXIOMS OF TOM

The essential elements of TQM as a process-oriented approach can be represented by only three main principles.

(i) Commitment (to never ending quality improvement & innovation).

(ii) Scientific knowledge (of the proper tools and techniques for the 'technical change').

(iii) Involvement (all in one team for the social change).

Also Called the axioms of TQM, the above three fundamental characteristics are of equal significance and hence can be represented at the comers of an equilateral triangle (also called Joiner's Triangle) as shown in Figirre 2.1.

Figure 2.1: Joiner's Triangle of TQM Axioms

With the help of these cornerstones, the realization of the TQM culture is possible. The interdependence of these cornerstones makes it easy to characterize the TQM environment fully, as well as to define it clearly.

Commitment

When TQM is being practiced within the organization, the aim of organization is to be the best in its kind. For this it needs a change in attitudes and culture, something that is impossible unless there is a real commitment to quality and innovation from the senior management. The management must regard the

workforce as an asset and must be willing to invest in the future development of Concepts of Total

workforce. However the commitment should not be restricted in the form of Quality Management

slogans and meetings only. Slogans demanding quality from everyone are not likely to achieve anything but frustration, anxiety and isolation. Some of the ways to motivate the workforce include :

proper working conditions,

adequate education and training, good communication and cooperation,

modem leadership rather than strict supervision,

good incoming material and equipment, appropriate quality tool, and

job satisfaction and incentives to workforce for good work.

Senior managers should be the ones to plan, initiate and coordinate the quality improvement process and keep up the momentum when enthusiasm dies down. Thus, a management commitment to continually improving the quality of products and service is an obvious necessity.

Scientific Knowledge

The best way forward for improving processes is use of scientific approach, not opinion or emotion. A proper scientific approach helps managers fmus their attention on individuals and take decisions based on facts unlike conventional wisdom. Scientific procedures like statistical methods help exploit information generated by processes and are used to anticipate, identify and correct mistakes. The main advantages of scientific knowledge are as follows :

(i) It provides a common language, which can facilitate communication between the different departments and between different individuals.

(ii) Scientific knowledge helps employees in owning the responsibility for quality and certain quality problems as they arise.

The role of TQM quality department should be that of co-ordination, education and support of scientific quality tools throughout the organization. Additional duties should include continuous research and development of innovative methods or further development of existing ones.

Involvement

This cornerstone is concerned with the social change of feeling that all are part of one team in the organization. The capacity of problem solving increases many times when there is a common effort. Due to synergy, the output of the group is much more than the individual output of its members. Employees will contribute and innovate if they know that genuine effort will always be successful in their endeavours; this is because teamwork provides a strong capacity to absorb occasional failures. The team spirit efforts should extend outside the company, to include the subcontractors and suppliers.

2.6 VALUABLE TOOLS FOR QUALITY

At present there are more than 40 quality tools. In this section, seven most commonly used quality tools used inconjunction with TQM shall be discussed.

Cause and Effect Diagram

A cause and effect diagram (Figure 2.2) is used when the need is to identify, explore, and display the possible causes of a specific problem or condition. They are also called "Ishikawa" diagrams after its originator or "Fishbone" diagram because of its shape. Major causes (A, B, C, D, E) are the primary causes. Contributing factors or minor problems (AI, B1) within a major cause are listed as the small "bones" attached to the large "bones".

Quality Systems Major Problem B M s ~ r o b l e r n A- *( - 1 MinorProblem A1 1

Minor Problem B1

Problem to

be Solved

Figure 2.2: Ishikawa Diagram

Flowchart

A flowchart is a pictorial representation showing all the steps of a process. A flowchart consists of a various symbols arranged in a sequential order that represents the flow of information. Flowcharts are used to document a process. By creating and studying flowcharts the management can often uncover sources of trouble as well as solution to problems. The meanings of some symbols are described below.

I . The activity symbol is a rectangle that designates an 1 71 activity. I

2. The decision symbol is a diamond which designates point from which the process branches into two more paths. The path taken depend on the answer to question which appears inside diamond.

3. The terminal symbol is a rounded rectangle which identifies the beginning or end of a process.

4. The document symbol represents a special task to the process.

5. The flow line represents a process with which we connect process elements, e.g., activities, decisions, etc.

Pareto Chart

The pareto analysis is a chart based on the pareto principle. This principle states that the major part of the problems may be due to a small number of causes. For example, 80% of the problems can be traced to 20% of the causes. The chart shows the factors or causes arranged in descending order of magnitude from left to right. This helps to determine which problem to solve in what order. For example, Figure 2.3 shows that out of the five causes of defects in casting, the majority of castings are rejected due to blowholes. Hence, this problem needs to be tackled first because it causes the most defects.

3. Scabs 10% 4. Shifts 5. Cold shuts

Causes of Failure (Defects)

Figure 2.3 : Pareto Diagram

Run C h a r t

A run chart (Figure 2.4) is used to monitor a process to see whether or not the long-range average is changing. This is thelsimplest tool to construct and use.

Average

I T i e F

2 " 1 ' t ' " ,

, , I , I Figure 2.4: Run Chqqt

Contr0.l Chart /

~ " c o n t r ~ l chart is simply a run chart kith statistically determined upper and lower cont@l,lihjt lines (UCL and LCL, respeidvel$f drawn on eithet: side of the process gve;age. ~ e ' i n ~ in dontrol simily riians that the process is consistent. This is observed3n chart when do data points.fa1i a s i d e the control tines. The control 'limits'are calculated as.follows. . . - .-. , i

I - ~blbulatearithmetic mea; for the means b?in:yspinples. 1f the mean of i" sample is K, then the mian of means, called giand'bani ' i i given by,

i

, .:,i 1 . ! .I(X, -.x-J2.+ (x* - xj2 + .. . + (X, - zj2 Calculate the stahJard deviatioGi = , - --

t, V n . . -

Calculate the upper control limit, UCL = k + 39 - -. .*

Calculate the lower control limit: L U = k - 3s -

Figure 2.5 shows a-typi;al control chart. = -

n * ii

U)

o Average

LCL .,,>. ', i

I I I I l . . t I, ., " < . , ~

.;;;: ;3*.: ,, ,. ,?

ib;$*&& b . 7 % .;; ; i \:> *,;, .* .. J. .: . ' r.,.: ,>..,<, *.. - J - -: -.i 1 , :

%,.?>) ,,*F .:>.:$.< ;;, 1; ;;; iy,x>,.:+-5t-P" Figure 2.5 : Control ~ ~ ~ h ~ ~ ~ ~ ~ ~ p p e r Limits

~,,: .': ~% > * , ,.. ;<, . . Corre la t ion C h a r t

A correlation (Figure 2.6) ch&? ~ ~ ~ ~ u & s t~k'Fiformance of one factor compared toanatherand helps detemrine>w$d ref,ationsTf ff?q, exists;

2 ; I, , , 4 ' : ' 7 , '. -

Concepts of Total Quality Management

I I

(a)J'ositive Relationship (b) No Relationship

Quality Systems

(c) Negative Relationship

Figure 2.6: Correlatlon Chart

Histogram

A histogram is a bar graph that gives a pictorial representation of data. The intervals are shown on the X-axis and the number of scores in each interval is represented by the height of a rectangle located above the interval. The following example illustrates how to construct a histogram. The data below are the spelling test scores for 20 students on a 50 word-spelling test. The scores (number correct) are: 48,49,50,46,47,47,35,38,40,42,45,47,48,44,43,46,45,42,43,47.

The largest number is 50 and the smallest is 35. Then, the range, R = 50 - 35 = 15. The 20 students are divided into 5 classes. Hence the interval width = Rl5 =15/5 = 3. The first class has a lower limit of 35. Therefore, the first upper limit is 35+3 or 38. The second class will have a lower limit of 38 and an upper limit of 41. Data in tabular form is shown in Table 2.1. Corresponding histogram is shown in Figure 2.7.

Table 2.1 : Frequehcy Table

Frequency t

Figure 2.7 : Histogram

2.7 CONCEPT OF KAIZEN IN TOM

i Kaizen is a new concept in modem quality, which is necessary to understaid and implement TQM with positive results. Kaizen is a Japanese word, which literally means gradual, continuous improvedent mainly in small matten, in all aspect of working life. Kaiaen signifies the constant and gradual improvement no matter how small, which should be taking place all time, in every process, involving everyone from all the ranks of maqagement and workforce.

Kaizen begins with the recognition that any corporation can have problems and Concepts of Total

improvements can be made as long as perfection is lacking. The distinct features @ $-$- :*!& Quality Management

inherent in the kaizen philcm@hy are as follows :

(i) The uniqueness of Kaizen is that it solves problems by establishing a culture in which everyone can freely admit to problems. In any organizational environment, the kaizen approach can help towards continuous improvement by contribution of small changes throughout the organization.

(ii) There is urgency about the neverendingffort for improvement and gradual change fpr better. Repetitiveness is considered as negative and & an inhibitor to progress.

(iii) There is an emphasis on the process rather than on the output. This is based on the realization that mass inspection of the output is a non-value added activity, incapable of improving quality.

A management-oriented kaizen is crucial if the morale and the momentum are to be kept up. Kaizen includes many practices that are outlined below.

2.7.1 Total Quality Control

Total Quality Control (TQC) is the high road to kaizen. TQC categorizes quality cost into three major categories, i.e. failure costs, appraisal cost and prevention cost and manages them separately. The underlying principle was that investment in proper quality planning and prevention activities can lead to a substantial reduction in the failure costs (scrap, reworking, firefighting etc.) and even in appraisal cost (inspection, audit etc.). Following are the failure costs:

Internal Failure Costs

I These are the costs associated with defects that are found prior to transfer of products to the market or customer. Examples include scrap, spoilage, defectives and rework. Some other costs that contribute to internal costs are :

1 (i) Failure Analysis Costs : Cost of analyzing defective product to determine

1 causes. I

I (ii) 100% Sorting Costs : Cost of finding defective items in a lot with

unacceptably-high level of defects. r

i External Failure Costs

These are the costs associated with defects that are found after product is shipped to the customer. The components of external cost are :

(i) Warranty Charges : Costs in replacing or making repairs to product that are within warranty period.

(ii) Complaint Adjustment : Cost of investigation of complaints attributed to defective product or installation.

(iii) Allowances : Costs of concessions made to customer due to substandard products.

Appraisal Costs

These are the costs incurred to determine the degree of conformance to quality requirements. These include :

(i) Incoming Inspection : Costs of determining the quality of purchased product by inspection on receipt or by inspection at source.

(ii) Final Inspection and Test : Costs of evaluation of conformance to requirements.

" * , , ' 1 2 ' , , I".. _\ : , . - Quality Systems (iii) Product Quality Audits : ~ o s t s 6 f per%fmhgquaH~%Wksh%~f~~la"r

finished product. Costs of mdnVaining in3trM%&B&&4 dtj&@h?fit#." - I ff' '-' 'JL

(iv) Cost of maihtalhlng ihst)rjnielitJ dtd~egtn'ptnkkr i* '~&#i&i ; . A $ & > , J - 2 l:.~l(l I$' I,! 3 * : l G ' A . " . ,

Prevention Costs a 3 , / t X * ~ t i - , . : :,, tifJ;:i * c r

These are the costs incurred to keep f a i l w e : d ~ a i s ~ t 1 ~ a 9 t s ~ ~ m m i m u r n . The various techniques used to minimize failure or appraisal d - ~ ~ ~ e ~ s h j u a l i t y planning, process, planninq,and ~pntrol, ,. ayd/ts, qualjw . . , I I . \ . tra,ip\yg3,s~P$ier quality

r r .t a { J d ) evaluation and'products review. , F >-,, ,,, , > ,.- 1: r.,;; ,

2 3 .$-;,.& i

2.7.2 Kanban Just-in-time System . ; r,.,,;:: I

Kanban is a communication pmekdure in the prsd~ction ~o~s ,a imed.~etSmi l ia t i ;~n of all waste by just-in-time collection, productionand delimy* Just;iwtirne mJIT is a discipline organized to improve quality and produdi-vity t h r ~ @ the ulihination of all waste. Its goals are :

r r s ( s > . ! <, >; < 2:; ,-; * 3 - r , . ' r : i ) Maximize customer servi~:levels~th~hdeliwry,~~d~~pt.i~,~~i@ .,

and flexibility. v c ' ~ ' ~ . ' - ) - & $ $ ~ ~ g ( $ bk:6,r'l 1

(ii) Minimize cost to the corporation through overhead, , material . cost, scrap, inventory holding cost; and ~o&&ivity.'" J , ~ f L T ~ f ~ ~ ~ rJj;l>:* + ' -

I> ' i , s* . '>' . r "- .1F0'3; I < < i I + "1 < ~ ' j l C , < &

Kanban is a special methad of q c h i t h n $ f l ~ I I t l a pr~,$ptipo c t apdsEhedylm~,,]: /f$~aljy,,~ : means "card" and is sometime? referredto as$je4.b;l~: rysf6b,~k$@p@~ y&t:p y s pioneered by Taiichi Cjhno in ~ o ~ ~ t a ' s - ~ l a ~ t * i " 1 ; - ~ r d ~ . tp redyq~ t g .pRG~ssY>X%\%. W e different levels of waste intlude ~ver~rdduction, wage in motio9*qpd , a <it tratppyqq ~ O R ' Q ~ units, waste in processing and machine time, waste in inventory and waste' in d i t &;s? - . ,

G T ~ ' ; 2 jisr: z - , \ . , The process of Kanban involves pulling parts and replacing with cards througri the manufacturing sequence ad needed. There & ~r3S'fypb:of Ir;tnbairau ~ d & w ~ P Q f i d a production ordering. For example, A, Bland Camthe'final p~odwts afrsf~jr, each requiring a definite numbet of 'a' and 'bf parts (screws and J&hm)2nire~worker producing A goes t9 the machining l i ~ e , where a , T % > + w y 6 a ' are beingp;rpary,PEIJ,f A requires 3 number of a's, he withdraws 3 from machln~ng line and r e p k e wlth.3 pr~ductioh

s,+:s, i

ordering kanbans. This kanban is picked up by a worker from machining line and this serves as an orderro ptodtice 3 parts of 'a'. T k U i S h d J a w l Y I ~ k a ~ w ~ ~ t h e qerdtity of items that subsequent process should with&@ f i o r n l t h a ~ c t l i n ~ w , ~ T h e production ordering kanban shows the quantity that preceding p q g i a J I ..... s h q @ & r ~ d ~ ~ , , . a e l

Fjgure 2.8 : Kaoban.,in tFf Prvluc\i~ngyecess s . LpJ\ ,.ii,*v, ; The benefits of kanban are : ; p s , i f - , , 8 i , t s : , J e 4 - r , ? v :,

(i) Necessary piWs are received and~~elive~sd.promptly~only.wh6~ the$r$e needed, cutting down on waste, storing space and in in~%Iltr)jly~,

(ii) Elimination of non-value added activities and waste movemt+@a-f mate;rhls,,

(iii) Kanban helps in changing the plant and machinery layou$for,@tter efficiency. If necessary, whole factory space can be redesignedl,. , -

2.7.3 Quality Circleq 4

These are informal groups whose members meet occasionatly on a ~ o f u n t a ~ basis, with the main purpose of prowem solving. A circle usually consists of a maximum 10 members and their supervisor who works as a leader. Quality circles aim towards the educational development of their members. The members of these groups are people

from management and the workforce, as well as supplier and subcontractors. These members am initially subjected to a training course. The course consists of :

(i) Study of simple problem solving technique like brainstorming, cause and effect diagrams, histograms, control charts, etc.

(ii) Study of reports of improvement projects carried out by other QC circles.

(iii) Participation in an actual project and implementation of the lessons.

The underlying principle guiding the working of a quality circle is that the members of a QC are the best to know about the problem. Hence, with a little management tactics, they can solve the problem on their own. The benefits arising of working through a quality circle are many, but they can be regarded to fall in two categories : measurable savings and improvement in the attitudes and behaviour of workers.

(i) Since people work together on an equal basis; this strengthens team spirit and improves morale and communication.

(ii) It promotes initiatives and substantially develops the ability to solve problems.

The effects of QC fall into three categories :

(i) Effect on characteristics of individual.

(ii) Effect on relationship among individuals.

(iii) Effect on attitudes of workers toward the organization.


2.7.4 Total Predictive Maintenance (TPM)

TPM is defined as activities aimed at :

(i) eliminating breakdown defects, and all other equipment losses,

(ii) gradually increasing equipment effectiveness,

(iii) improving company profits, and ' , -

(iv) creating a satisfying workplace environment.

TPM emphasizes on effective use of existing resources to minimize waste. This is a preventive approach to bring in changes. TPM can be an important cost saver because :

further capital investment of new machines can be avoided,

time consuming activities like breakdowns, repairs etc. can be prevented, and

simple maintenance activities like oiling equipment on a routine basis, improve the plant condition. TPM programs depend on simple skills and include daily checking, equipment tuning, adjustments, trouble-shooting and repair.

The above-discussed four Kaizen practices act as a versatile tool because :

(i) It assists jrl identification and elimination of sources of potential problems.

(ii) At any time an indication of the current capability of the equipAent can be assessed.

The kaizen improvement process is in sharp contrast with the type of improvement that is usualjy the result of innovation. Top management's responsibility is however to maintain a balance between the two. Table 2.2 compares these two approaches toward quality improvement.

Quality System Table 2.2 : Comparison of Innovative and Kaizen Approaches to Improvement

2.8 DEMING APPROACH TO TOM

Innovation

1. Innovation is a short-term, dramatic improvement

2. Requires a large initial investment but little effort to maintain.

3. Innovation is result-oriented

4. It is a prerequisite for achieving and sustaining superior company performance.

Dr. W. Edwards Deming was a statistician by training and largely involved in rebuilding of Japanese industry after World War 11. He is largely known for his application of statistical theory to manufacturing variation. Deming defines TQM as "A culture inherent in which there is total commitment to the quality and an attitude expressed by everybody's involvement in the process of continuous improvement of products and services through the use of innovative scientiJic methods". Deming's contribution to TQM is listed in his 14 points to quality improvement, seven deadly sins and PDCA cycle.

Kaizen

1. Kaizen implies slow, step-by-step improvement.

2. Requires effort to maintain but minimal investment.

3. Kaizen is process-oriented.

4. It is a prerequisite to exceptional care for the customer, through superior

quality and service for the external customer, and through proper leadership for internal customer.

2.8.1 14 Points to Quality Management

The principles by which TQM can be incorporated into an organization is given by Deming's 14 points for Transformation of Management. These include

Create Constancy of Purpose

Create constancy of purpose towards improvement of product and service with the aim to become competitive, to stay in business, and to provide jobs. The management must take immediate action on any deviation from the drive towards achieving constancy.

Adopt a New Philosophy

A change is necessary in the old management methods, which are no longer effective for today's business environment. If current management practices are not in tandem with the type of business then the cost is bound to be loss of competitive position.

Cease Dependence on Mass Inspection to Achieve Quality

Build quality into the product in the first place. If possible, everything has to be done right at first time so that there is no need for rectification later. There is a need to replace the practices of mass inspection and defect detection with practices of defect prevention and continuous improvement

End the Practice of Awarding Business on the Basis of Price Alone

The low price of incoming materials does not ensure performance. It is possible that the future supplies are not consistent as regards quality level. Therefore, it is always worthwhile to stick to a single supplier for any one item in a long-term business association of loyalty and trust.

Constantly Improve the System of Production and Service Concepts of Total Quality Management

The company should always try to reduce variability in order to improve quality and productivity constantly and decrease costs. The manager should keep an eye on the system, maintenance and process improvement and training. He should anticipate trouble and not become content.

Institute Training on the Job

Training and education are the cornerstones of consistency. Investment in proper training of all new employees including managers will ensure that newcomers will immediately start contributing to their full capacity.

Adopt and Institute Methods of Supervision and Leadership

The aim of supervision should be to help people and machines do a better job, that employees take more interest in work and come forward in handling respo~sibilities. Modern leadership means that people leading the company must shot:. the employees ways of improving productivity; the leaders should be a motivating factor; they should teach and counsel rather than judge.

Drive Out Fear

In order that everyone works effectively and productively for the company, a two-way communication should be encouraged. When fear is driven away, it leads to successful joint working relationships, based on respect and cooperation. An atmosphere of fear is always counter-productive and reduces competitiveness and innovation.

Break Down Barriers between Departments and Individuals

People from all departments contribute to a common goal of company and eventually success. This is possible when individual barriers breakdown and lead to mutual trust and cooperation.

Eliminate Slogans

Slogans and poster campaign demanding for new levels of excellence do not yield positive results because the worker cannot correct the causes of low quality and unsatisfactory productivity. No substantial improvement can be made through slogans unless management takes an initiative or employee training is done.

Eliminate Numerical Goals or Work Standards

The only way to increase quality and productivity is to replace work standards with competent leadership. If target is reasonable and eventually achieved, the employee involved will become complacent and put no more efforts. On the other hand if target is unreasonable, either it will not be attained or it will be attained by manipulating the figures andlor lowering standards. Thus, any methods relying on numerical goals are detrimental to the future of the whole company.

End Annual Reviews or Merit Rating

Deming strongly recommends the abolition of the annual merit rating because it destroys teamwork, increases variability in the performance of employee and focuses on short term. Besides, it causes excessive internal competition and isolation, reduces initiatives and risk-taking.

Institute a Rigorous Program of Education and Self-improvement

This refers to continuing re-education and self-improvement for everyone. Retraining is as essential as providing training to new employees because it gives the people a sense of security that their work carries a value. Re-education assures that if the position, the employee is currently holding, ceases to hold a value, then he would be able to change into a more valuable position within the company.

Quality Systems Define Top Management's Permanent Commitment to ever Improving Quality and Productivity

Management should immediately take action to accomplish the transformation by implementing the preceding 13 points. Once a manager fully understands Deming's philosophy, he will become capable of coordinating actions for continuous improvement.

2.8.2 The Seven Deadly Sins

Deming, in addition to puttiqg forward his philosophy in the 14 points, also identified seven deadly diseases that, it! unattended, cause harm in the organization and prevent it from becoming a "world-class" organization. The seven deadly sins are :

Lack of Constancy

A constancy of purpos$ provides the company charter for planning of products and services that will have a market and keep the company in business and provide jobs. The absence of constancy of purpose has a bad effect on the overall environment of organipation.

Short-term Profits

An emphasis on short-term profits is accompanied by short-term thinking. Profits can be obtained by cutting down and training on investments originally intended for employee benefits. The reasons of such action are: fear of unfriendly takeover and push from investors for dividends.

Performance Appraisal

The meaning of performance appraisal is evaluation of performance by merit rating. If the merit is based on system parameters that are against the norms and ethics of present and without comparison to standard reference, the effects could be devastating. Rewards based on short-term performance destroy long-term planning, builds fear, demolishes teamwork, nourishes rivalry and politics. Often, a feeling of depression is inevitable making the employee unfit for work for weeks after receipt of rating.

Job-hopping refers to the constant change in management due to continuous replacement or exchange of people in leadership positions. This leaves everyone wondering about stability, having to deal with new style of leadership and changes in direction.

Use of Visible Figures Only

When a company presents its progress report, it is often subjected to manipulation. One can cut down on research, education, training and quality improvement efforts in order to show profits. The use of only visible figures do not present the true image of the company's standing in the market. For example, what are the figures for failing to satisfy the customer, improving quality and productivity etc.

Excessive Medical Costs

The presence of excessive medical costs, unsafe products, unsafe processes, unsafe work place, and job stress puts a negative effect to the work attitude.

Excessive Costs of Liability

The liability of legal requirements to be met during work costs a lot of time to the worker. This puts him' under psychological pressure and he is often involved more with dealing how to complete the legalities.

2.8.3 The PDCA Cycle Concepts of Total Quality Management -

There is an ongoing cycle of activities that Deming suggests as a procedure to assist in the establishment and long-term existence of a quality organization. The cycle, called the Deming cycle (or Shewhart cycle), consists of four main stages, one following another in a specific order that is repeated continuously. This is shown in Figure 2.9. The name PDCA cycle is often used as an acronym for all four stages: plan, do, check, act.

Figure 2.9 : PDCA Cycle

PDCA cycle reflects the basis of a self-sustaining quality programme. It should drive any process or activity in the company, howsoever small. The four elements are explained below.

Plan

The process of improvement should start with careful planning of the route of action. This could involve a great deal of understanding, documenting, evaluating and assessing the tools to be used for an effective quality programme. Change should be gradual and not for the sake of change. At this stage, decisions should be taken on the objectives to aim for, the changes that are needed, the types of performance measure to be used, and who should be responsible for what. Also, a determination should be made of the availability of resources or data, the possible implications of the actions and the contingency measures to be taken when something goes wrong.

Implementation of the plan should follow with the involvement of everybody. This will include training in scientific methods, survey of the customer's needs and expectations, identification of core processes, collection of statistical information, understanding of process control and variation, identification of projects with improvement objectives, formation of project teams and communication of resulting successes. At this stage, small-scale implementation of any planned change will take place and resulting data will be collected.

Check

Checking how the plan is evolving is an important part of the cycle. This involves measuring and observing the 'effects' of any change or test carried out at the do stage, analysis of results, feedback and review. Using actual data, deviations from original expectations should be evaluated and investigated.

Act

Corrective action can follow, based on the lessons learned so far. A study of the current situation should be made, standardizing any improvements and properly documenting any good new processes and innovative ideas. The review at the checking stage can be used as a learning process, so that knowledge is built into a new plan. Planning requires prediction; the result of any change at the action stage can enhance the ability to predict in the future. The Deming cycle of Planning, Implementation, Checking, Action, (New) Plan is thus ready to start again. This should never stop.

Quality Systems SAQ 1

(a) What are the differences between Kaizen and Innovation?

(b) What is a PDCA cycle?

2.9 JURAN ON QUALITY

Dr. Joseph Juran was one of the first persons to incorporate the involvement of people within quality. Juran's point was that organizations were well aware of the aspects of quality conpol but did nor know how to manage for quality. The ideas for which he was best known are:

(i) Top management involvement.

(ii) Placed emphasis on training process supervision and operators.

(iii) The application of Pareto principle.

(iv) The project-by-project approach to quality improvement.

Juran places more of the quality responsibilities to middle management and quality professionals. The role of upper managers is restricted to guidance and policy making. Management for quality is done by the use of three managerial processes - planning, control and improvement which are three members of Juran's Quality Trilogy model.

2.9.1 Quality Trilogy Model

The model is shown in Figure 2;10. 13

Quallty Plan Who is cusbrner? What are his needs? Convert needs into specifications Develop and optimize product Establish new operating conditions

New Level of Qual~ty -

Figure 2.10 : Sequence of Events in Quality Trilogy Model

Quality Planning

The important aspects in planning for quality are

(i) identifying the customer and needs.

(ii) Translating the customer's needs into a language that every employee of organization can understand, and develop a product.

(iii) Optimizing the product by developing and optimizing the process.

(iv) Once operating conditions have been established and proved as optimal, transferring the process to operate. Cost considerations play important role in planning.

Quality Control

Control is the process of detecting and correcting adverse changes. Changes occur inadvertently due to effect of negative influence on the set level of quality. It is crucial to take action when standards are not met in the from of audits, control limits etc. Juran states that the majority (80%) of the current quality problems are the fault of poor management rather than poor workmanship on the factory floor. Only a process in control is predictable and amenable to further improvement.

Quality Improvement

Juran believes that improvement can be realized by organized procedures and priority. To achieve a breakthrough, Juran suggests the following steps:

(i) Accept the responsibility for making improvement. Management must be involved.

(ii) Understand the universal sequence of events for making the improvements.

(iii) Apply the universal sequence to actual company problems.

2.9.2 Achieving Quality through Breakthrough

Juran emphasizes that quality results can be attained by making a breakthrough. A breakthrough indicates a "beneficial change" from status quo. Such a change is needed for overcoming chronic quality problems. The organization often are busy in fire fighting to overcome sporadic quality problems but would be immensely benefited if chronic quality problems are removed. But quality does not happen by accident. It has to follow a sequence of plan. Juran dictates the following steps by which this universal breakthrough sequence is to be carried out in an organization.

Proof of the Need

Appropriate level of management should be convinced of the significance of the quality issue which will require a new approach. The top management easily understands a proposal in terms of money. For example, the problem of waste should be converted into money lost in order to provide a proof to the management, i.e. the management must acknowledge that a lot of waste is being generated under the current practices of operation.

Project Identification

The only way of achieving a breakthrough is by converting chronic problems into specljic projects. The project provides a way of separating budgets and facilities to conduct experiments. In order to correctly identify project, prioritizing is done by pareto analysis (discussed in Section 2.6.3).

Organization for Improvement

This stage requires that clear responsibilities are established for three levels of activities :

(i) Guiding improvement programmes that are done by a team of upper managers.


Quality Systems ( i i ) Project-by-project improvement.

(iii) Analyzing each project.

The Diagnostic Journey

The diagnosis involves discovering the causes of defect by proper experimentation, data collection, interpretation of results and finally testing any theories. Errors are bound to occur either from operator side or management side or both. Juran categorizes them as :

(i) Inadvertent errors if these are unintentional and unpredictable; beyond the realm of operator awareness.

(ii) Those errors arising out of lack of knowledge are technical errors.

(iii) The last one is willful errors so called because operator makes intentionally and persistently and is aware of making the errors but ignores.

Remedial Action

For problems arising due to operator controllable error, Juran suggests the remedies, some of which are as follows :

(i) One should not give orders to other and both should take orders from the situation.

(ii) Establish accountability. Find out who the worker is and who did the job.

(iii) Provide assistance to workers in identifying defects from operator's side.

(iv) Reassign work by separating critical work from rest.

(v) Improve communications among workers and supervisors to promote the mutual interests and understanding.

(vi) After the problem is diagnosed, a proper choice to solution should be considered. The best method of doing this is to quantify for each alternative the cost to organization.

(vii) Practice preventive maintenance.

(viii) Practice open communication and feedback between different departments. Quick access to procedures, instructions, policies, keywords, specification etc.

(ix) Establish clear responsibilities for quality-oriented decision.

(x) Practice sampling instead of 100% inspection.

(xi) Separate problems using Pareto principle.

Resistance to Change

There is a resistance to change. Juran recommends certain actions to overcome the social and culture factors.

( i ) Provide Participation : People who are affected by the change should be allowed to participate both in planning and in execution of change. This provides opportunity to evaluate merits as well as impact and threat to current beneficial practices. Participant should be treated with dignity so that favourable social climate is developed which makes change more acceptable.

(ii) Provide Enough Time : In order to absorb and evaluate the merits and demerits of change, adequate time must be allowed. Conducting a small tryout of the yet-to-incorporate change reduces risks and provides the needed proof to the advocates of change as well as those giving resistance.

Holding the Gains

The final step in a breakthrough sequence is to hold the gains achieved so far. Operating forces must engage in control activities when out of control situations occur. The methods of doing this are

establishing new standards and making it known to operators of what is expected from them from now on,

training of operator so they know what exactly has been changed, and

. establishing a new system of control consisting of early warning signals, techniques for analysis of data and rules for decision making and reporting.

When a breakthrough in new level of performance has been achieved and gains have been held as the new standards, the sequence of event is ready to start again.

2.10 CROSBY AND QUALITY TREATMENT

Philip B. Crosby was first to popularize quality for top management, He claimed that all quality improvements pay for themselves, i.e. that quality is free. Crosby's most important contribution has been the development of a 14-point programme of quality improvement and zero defect concept.

2.10.1 Zero Defect Concept The zero defect concept has two meanings which are explained below.

Defect-Free Product

This concept has value as a long- range objective, since it implies the need for never-ending improvement. The concept rejects the idea that we can relax our efforts short of perfection. In contrast, if defect-free product is viewed as a short- range objective, it becomes counterproductive by shutting off efforts to reach attainable goals.

Zero Defects as a Slogan

In this meaning, the term is adopted as a kind of banner, which motivates the company to improve quality. In its best usage, this is comparable to adopting an appealing brand name to help sell a product. If the drive is well conceived (i.e., a "good" product), then a good brand name is assured. If the drive is ill-conceived (e.g., an attempt to solve the company's quality problems by pressurizing the work force), then it will fail no matter how clever is the slogan.

2.10.2 The Four Absolutes of Quality Crosby provides the following four absolutes regarding quality.

Quality Means ~onfo'rmance, Not Elegance

Qualityjs the conformance of a product or a service to requirements. The definition of quality can never make any sense unless it is based on exactly what the customer wants. As a consequence, the management has the following three tasks to perform.

(i) Establish the requirements to be met and communicate them to all employees of organization.

(ii) Provide appropriate tools and techniques, and the necessary training in them.

(iii) Provide continuous support and management.

The System of Quality is Prevention

Before carrying out the operation, it is beneficial to identify all opportunities for error. At least a contingency plan can be drawn up so that if the problem really occurs, the damage is controlled and restricted to minimum possible. Inspection is


Quality Systems inevitable. But a company that relies on mass inspection of the final output cannot achieve progress.

The Measurement of Quality is the Price of Non-conformance

The price of non-conformance (PONC) indicates the costs involved with doing wrong things - rejects, reworking, warranty costs etc. The sum costs of such actions amounts to 20-40% of the total operating costs. This is the reason why Crosby stressed that quality is more of a management function rather than a technical operation. When management realizes the damage done, it is prompted to apply professional quality functions, prevention efforts and quality education to bring down the loss. This cost of effort is called the cost of conformance or COC. Thus, a company whose products and services are rated as of high quality is paying a very low price of non-conformance.

The Only Performance Standard is Zero Defects

The concept of zero-defect is based on the fact that any deviation from target causes a loss. Hence, it is always cheaper to do the job right first time, on time, every time. Only that management, which continuously strives to produce a product free of any errors, meets the performance standard.

2.10.3 Crosby's 14 Points for Quality Improvement

According to Crosby, quality is a never-ending process. Crosby laid down the following 14-points to assist in the establishment of a quality ethics.

Management Commitment

Quality should be the first agenda of all management meetings. Senior management must demonstrate their commitment to quality by making clear how it is going to deliver defect free products and service on time.

Quality Improvement Team

A quality improvement team will consists of people who will assist in the changing of the system to enable quality to flourish. Its main task will be to

change the attitude and practices of those who run the company,

set up required educational activities, and

coordinate the efforts of team members and upper management.

Measurement

A clear method of measurement for every part of an activity should be decided. Once decision is taken, a level of reference is created, reasonable targets can be set, progress can be monitored and comparisons can be made.

The Cost of Quality

The management needs to monitor the cost of quality and then treat it as a positive item in the management process. If the costs are high, it indicates the returns made by current quality practices are not favourable. Those processes accounting for the maximum consumption of resources needs to be given prior treatment and

..F*

modifications.

Quality Awareness

People should be continuously reminded about the management commitment to quality, training facilities. Crosby advocates the use of slogans or posters also as a reminder to the workforce of importance of quality.

Corrective Action

Any corrective action must be executed only after analysis of past data or determination of the cause so that the problem is treated permanently. The

organization must be wary of undertaking any corrective action, which takes the form of reworking or replacement activity because it does not carry any value.

Zero Defects Planning

Proper planning is required for the concept of zero defect to be embedded in the company culture. It will have to start with a zero defect commitment from the top management. Crosby suggests the awareness training including the celebration of "Zero Defects Day".

Employee ducat ion The subjects addressed during education process are concerned with the company's activities and ways of achieving quality. A classroom environment, where both workers and management participate, results in greater understanding and break down barriers leading to collaborative work. Crosby states six elements in the entire education process which is also referred to as 6 Cs.

Comprehension (understanding of what is necessary, abandonment of the old way of thinking and of outdated practices).

Commitment (management-led dedication to cultural change).

Competence (methodical and scientific implementation of improvement process).

Communication (complete cooperation throughout the production process, including suppliers and customers).

Correction (elimination of all causes of problems and prevention of new ones arising).

Continuance (never-ending effort for improvement),

Zero Defects Day

Crosby recommends the celebration of zero defects day to reward serious efforts. This act will be a reminder of importance of quality and as a demonstration of commitment towards zero defect principle.

Goal Setting

When it comes to quality, the ultimate goal is that of zero defects, and all intermediate goals should move in that direction.

Error Cause Removal

The permanent removal of causes of error requires a team effort. The identification of error is possible when a proper communication exists between the members of team. Communication ensures sharing of knowledge and experience. Each team member can contribute by submitting a defect cause removal proposal.

Recognition

Crosby considers recognition as a reference point to help the improvement efforts in right direction. The recognition process needs to be planned carefully and developed gradually. When an employee is decorated with a quality award for his efforts, it must set an example to others and not rivalry.

Quality Council

The people who define the mission, visions, values and policies necessary for managing the improvement process can be brought together in one group under the name of quality council. A council serves a common platform where they exchange their knowledge and the coordinated expertise can be effect& in providing support to quality improvement teams in their efforts towards elimination of hassle and achievement of zero defects. -


Quality Systems Do it All Over Again

TQM can happen if the effort is continuous. The process of learning, participating and experimenting with new methods should never end process. The process can gain speed and get embedded in the work culture when done again and again.

SAQ 2

What is the difference between price of conformance and price of non- conformance?

--

2.11 STEPS IN IMPLEMENTING ZERO DEFECT PROGRAM

The zero defect concept seeks the voluntary participation of all workers in understanding personal responsibility for the quality of task they perform. Zero Defect (ZD) programs can be implemented in the following ways.

Personal Challenge

The e~nployees are challenged to adopt work culture and error-free performance. They are requested to voluntarily sign pledge cards - a promise that they will strive to observe the highest standards of quality and performance.

The problems which obstruct ZD aim are identified, defect sources traced out and their causes rectified. This phase provides employees with a background of the problem. They are encouraged to be alert and report potential sources of defects.

Inspection

'The employee or worker is trained about specific quality points he is expected to monitor and encouraged to report any out-of-control conditions promptly. The use of ZD breakdown sheet is taught to him for error-free work performance. The sheet has two columns, one showing the logical sequence of operations and the other critical factors, which determine whether the job is being carried out without defect.

Motivation

The management should try to make the workers realize that 'Quality is important to the company's future and employee's future, depends on the company's future; therefore quality is important for every person working in the company. The following two methods are used for creating psychological climate favourable for quality mindset.

Attract Attention

With the help of slogans such as "Up with quality, Down with rejects", letter to employee's homes from company president, articles with pictures in newspaper etc.

Generate Interest

With the help of displays on how company products are used and highest quality workmanship award etc. A well-planned programme on quality education to highlight the impact of quality on the image of the company in the market is needed.

2.12 POKA-YOKE

The concept of Poka-Yoke was pioneered by Shingeo Shingo of Japan to produce zero defect products. It is basically a mistake-proofing system. Originally called "fool proofing" and later changed to "mistake proofing", poka-yoke translates into English as to avoid inadvertent errors. Such a system employs inspection actively to identify errors during the process. The result is a business that wastes less energy, time and resources. A poka-yoke employed in a production system works by detecting the errors and stopping the production. Only after finding out the cause of error and eliminating error, the production system is resumed. The use of poka-yoke in a production system is extremely valuable because it prevents the occurrence of the same error repeatedly. Poka-yoke uses a bunch of small devices to either detect or prevent defects. The device can be

L developed by anyone from manager to line employee. A poka-yoke device is any mechanism that either prevents a mistake from being made or makes the mistake obvious at a glance. The ability to find mistakes at a glance is essential. Suppose a person picks up a pen at a bank to sign a cheque. But when the top is depressed to extend the writing part the pen malfunctions because the inside spring is absent. A simple poka-yoke to prevent such a situation could have been built into the assembling process of pen. This is as follows :

(i) Present all the pieces of pens in one dish and springs in another dish.

(ii) The worker counts out springs from the dish, puts springs inside pen and places them in a small tray.

(iii) After assembly is complete, if a spring remains in the dish, an error has occurred. The operator knows a spring has been omitted and can correct the omission immediately.

The cost of this inspection (looking at the dish) is minimal, yet it effectively functions as a form of inspection. The cost of rework at this point is also minimal, although the preferred outcome is still to find the dish empty at the end of assembly and to avoid rework even when its cost is small. The effects of employing poka-yoke are observed in increased productivity and decrease of error rate. Poka-yoke devices are an effective alternative to demands for greater worker diligence. Hence, the morale and worker attitudes also improve when a poka-yoke is employed. There are certain disadvantages associated with installation of poka-yoke.

It demands a certain level of quality built into system. For example, if a production line is malfunctioning at several points, the in-built poka-yoke will cause a large number of stoppages of the line. This is not desirable, as productivity will be hampered.

The devices do not work properly if the production rate is very fast. This is because the devices need some time to respond to an error and if the production line moves rapidly, it is possible to bypass the error. For example, by the time, error in certain dimension of a component is noted and the information is conveyed to production line, many quantities of the product would have been produced.

2.13 CONCURRENT ENGINEERING

Concurrent engineering requires performing the various steps and processes in managing a project in tandem rather than in sequence. This means that engineering; research and development, production, and marketing are all involved at the beginning of a project, before any work has been done. Combining concurrent engineering with TQM and project management may produce the following benefits

New product development times are reduced.

Average life of the product is increased.


Quality Systems Sales and revenues are increased.

The number of customers increases.

Organizations with separate methodologies for each process may end up with duplication of effort, duplication of resources and even facilities (Figure 2.1 I(a)). As organizations begin recognizing the synergetic effects of putting several of these under a single methodology, the first two process to become partially coupled are project management and TQM (Figure 2.1 I (b)). As the benefits of synergy and integration become apparent, organizations choose to integrate all the processes (Figure 2.1 I (c)).

Management

Concurrent Engineenng

(a) (b) (c)

Figure 2.1 1 : Integration of Project Management and TQM with Concurrent Engineering

Managing a project in tandem rather than in a sequential manner is not easy and superior project control is required to avoid increasing the level of risk later in the project. The most serious risks are delays in bringing product to market andcosts when reworking is needed due to poor planning or poor project control. Improved planning, scheduling and control are essential to modern project management, so it is obvious for top companies to integrate concurrent engineering, project management systems and TQM.

2.14 SUMMARY

In this unit, an introduction to the various elements of TQM is provided. The views of Deming are explained through Joiner's triangle, 14 steps to Quality Management and PDCA cycle. Juran's road to improving quality is presented through Juran's Trilogy Model. The concept of Zero Defect and 14 points of Quality Improvement form the basis of Crosby's philosophy. In addition, a description of various quality tools were also explained. The practices of Kaizen and Poka-Yoke were addressed to show how productivity could be increased. Finally, the concepts of Concurrent Engineering were introduced to show the benefits of integrating different management practices in the quest to quality.

2.15 KEY WORDS

Continuous Improvement : It means that new products are launched or existing products and services are improved.

Control Limits : These are statistically determined limits, which indicate the maximum variability of a process.

Ishikawa

JIT

Ka izen

: A pictorial representation of possible causes (major and minor) of a specific problem in the form of a skeleton of fish.

: Just-in-time is a method of producing necessary parts in quantities needed at a particular time only.

: The pursuit of continuous improvement through identifying and eliminating non-value added activity.

Kanban

Pareto Principle

PDCA

: It is an instruction an card requiring the operator to produce the products.

: This principle states that the major part of the problems may be caused by small number of possible causes.

: The continuous cycle of plan-do-check-act to assist in establishment and long terms existence of an organization.

: Poka-yoke, also called mistake proofing, is a simple method to prevent defects from occurring in your business processes.

: TQM is management and control activities based on the leadership of top management and based on the involvement of all employees and all departments from planning and development to sales and service. These management and control activities focus on quality assurance by which those qualities, which satisfy the customer, are built into products and services during the above processes and then offered to consumers.

: Total Quality Control is an effective system of integrating quality development, quality maintenance and quality improvement efforts of the various groups in an organization, so as to enable production and services at the most economical ways, which provides customer satisfaction.

2.16 ANSWERS TO SAQs


Please refer the preceding text for Answers to SAQs.